NewKerala.com

99.92% of Indian Villages Now Have Banking Access Within 5 Km Radius

The Indian government has informed Parliament that 99.92% of inhabited villages now have access to a banking outlet within a five-kilometre radius. This coverage is monitored using the Jan Dhan Darshak App, a GIS tool that tracks banks, business correspondents, and India Post Payments Bank outlets. The rollout in remaining areas is managed by State and Union Territory Level Bankers' Committees in consultation with local governments and stakeholders. The India Post Payments Bank, which utilizes the vast postal network, was recently awarded for its contribution to digital payments and financial inclusion.

Key Points: 99.92% Indian Villages Have Banking Outlet Within 5 Km

  • 99.92% villages have banking within 5 km
  • 100% coverage in Dadra & Nagar Haveli
  • Jan Dhan Darshak App enables GIS monitoring
  • India Post Payments Bank leverages postal network
  • SLBCs oversee rollout in uncovered areas
2 min read

99.92 pc of Indian villages host banking outlet within 5 kms radius

Nearly all inhabited Indian villages now have a banking outlet within a 5-km radius, as per govt data. The Jan Dhan Darshak App monitors coverage.

"Nearly 99.92 per cent of inhabited villages in India now have a banking outlet within a five‑kilometre radius - Finance Ministry"

New Delhi, March 30

Nearly 99.92 per cent of inhabited villages in India now have a banking outlet within a five‑kilometre radius, the Parliament was informed on Monday.

Further, 100 per cent villages in the Union Territory of Dadra and Nagar Haveli are covered with banking outlets within a radius of 5 kms, Minister of State for Finance Pankaj Chaudhary told the Lok Sabha in a written reply.

The Jan Dhan Darshak App, a Geographic Information System (GIS) monitoring tool, shows banks, business correspondents and India Post Payments Bank outlets covering almost the entire country, he added, as per a Finance Ministry statement.

The app enables geographic monitoring of banking infrastructure, he said.

Major impediments in the augmentation of banking infrastructure are the lack of connectivity & infrastructure, along with the non-availability of suitable premises.

As per RBI guidelines, rolling out of banking outlets in uncovered areas is a continuous process looked after by the State Level Bankers' Committee (SLBC) or Union Territory Level Bankers Committee (UTLBC).

The process is being done in consultation with the state government concerned, member banks and other stakeholders, the minister said.

Banks, inter alia, consider proposals for opening banking outlets in the light of the RBI's instructions, their business plans and commercial viability. To further assess the viability of opening a banking outlet, banks carry out surveys as required.

India Post Payments Bank (IPPB) is a bank under the Department of Posts, fully owned by the Centre. It leverages the postal network comprising 1.65 lakh post offices and 3 lakh postal employees for delivering banking services.

It has been conferred the 'Digital Payments Award 2024-25' in recognition of its outstanding contribution to expanding digital payments and financial inclusion across the country.

- IANS

Share this article:

Reader Comments

R
Rohit P
Great numbers, but the real test is service quality. In our village in Bihar, the BC outlet is open only 3 days a week and often runs out of cash. Infrastructure is one thing, reliable banking is another. Hope this improves.
A
Aman W
Leveraging India Post is a brilliant move. Those post offices are the backbone of rural India. IPPB getting an award is well-deserved. Digital payments reaching the last mile is crucial for our economy.
S
Sarah B
As someone who works in development, this is a massive achievement for financial inclusion. The 0.08% of villages still uncovered are likely in extremely remote areas with genuine connectivity challenges. The SLBC process seems robust.
K
Karthik V
Bhai, 99.92% is almost 100%! This is a silent revolution. Remember the days of long bus journeys just to deposit money? Now banking is at the doorstep. Kudos to all the bank mitras and postal staff working in tough conditions.
N
Nisha Z
The focus on commercial viability mentioned by the minister is important. Banks need to stay sustainable. Hopefully, with increased digital transactions and government business (like DBT), even remote outlets can become viable. A step in the right direction.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

Leave a Comment

Minimum 50 characters 0/50